Chainlink price has once again been rejected from the $26 high-timeframe resistance. The next key test lies at $21 support, where confluence with Fibonacci and VWAP will determine the trend’s direction.
Summary
- LINK rejected from $26 resistance, a high time frame barrier.
- $21 support aligns with 0.618 Fibonacci, VWAP, and daily level.
- Bullish continuation depends on strong demand and volume confirmation at support.
Chainlink (LINK) has been repeatedly capped at the $26 resistance level, a barrier that has proven difficult to breach across multiple attempts despite bullish developments stemming from a potential Chainlink ETF. Price action is now setting up for a potential retest of the $21 zone, a high-confluence level that will define whether the bullish structure remains intact. Traders are closely monitoring this area, as holding $21 will reinforce higher-low projections, while losing it could shift momentum to the downside.
Key Chainlink price technical points
- Rejection at $26 Resistance: High time frame resistance continues to cap price action.
- Critical Support at $21: Aligned with the 0.618 Fibonacci retracement, VWAP, and daily support zone.
- Accumulation Potential: Price may consolidate around the value area high before attempting another breakout.
The $26 region has acted as a stubborn ceiling for LINK, rejecting bullish momentum multiple times. Each rejection underscores the strength of this level, making it a key hurdle to clear before LINK can pursue higher objectives. Despite this, the bullish structure remains intact as long as higher lows are preserved.
The $21 support is the most critical level to monitor in the short term. This zone is reinforced by multiple technical confluences, including the 0.618 Fibonacci retracement and VWAP established from the value area low. If LINK successfully retests and holds this level, it would confirm what is known as a “bullish retest,” establishing a higher low that strengthens the overall market structure. This scenario would suggest that buyers are absorbing supply and preparing for another move higher.
Volume will be a decisive factor in determining the outcome of the $21 retest. A sustained influx of bullish participation would signal that demand is active, validating the support and setting the stage for continuation higher. Without this confirmation, the probability of a prolonged consolidation increases, as LINK could spend time trading around the value area high before attempting another breakout.
What to expect in the coming price action
If $21 support holds with visible demand, LINK will likely sustain its bullish market structure and attempt another rotation toward the $26 resistance. A clean breakout above this level would open the path for further gains. Conversely, a failure to defend $21 on a closing basis would negate the higher-low formation and signal a potential deeper pullback.
